1-1 AN ACT 1-2 relating to the authority of Matagorda County Hospital District to 1-3 lease property and enter into a loan agreement. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Chapter 41, Acts of the 59th Legislature, Regular 1-6 Session, 1965, is amended by adding Section 4A to read as follows: 1-7 Sec. 4A. The Board of Managers may transfer by lease to 1-8 individuals, companies, corporations, or other legal entities 1-9 District property, facilities, or equipment on terms determined by 1-10 the board to further the purposes of the District. The term of a 1-11 lease entered into under this section may not exceed 25 years from 1-12 the date the lease is entered into. 1-13 SECTION 2. Chapter 41, Acts of the 59th Legislature, Regular 1-14 Session, 1965, is amended by adding Section 10B to read as follows: 1-15 Sec. 10B. (a) The Board of Managers may borrow money at a 1-16 rate of interest determined to be reasonable by the board. 1-17 (b) To secure a loan, the Board of Managers may pledge: 1-18 (1) the revenues of the District that are not pledged 1-19 to pay the bonded indebtedness of the District; 1-20 (2) tax revenue to be collected by the District during 1-21 the 12-month period following the date of the pledge that has not 1-22 been pledged to pay the principal of or interest on District bonds; 1-23 (3) District bonds that have been authorized but have 1-24 not been sold; or 2-1 (4) any other unencumbered assets of the District. 2-2 (c) The Board of Managers may not use loan proceeds obtained 2-3 under this section for any purpose other than the operational and 2-4 capital requirements of the District. 2-5 SECTION 3. This Act takes effect immediately if it receives 2-6 a vote of two-thirds of all the members elected to each house, as 2-7 provided by Section 39, Article III, Texas Constitution. If this 2-8 Act does not receive the vote necessary for immediate effect, this 2-9 Act takes effect September 1, 2001. _______________________________ _______________________________ President of the Senate Speaker of the House I certify that H.B. No. 2875 was passed by the House on April 20, 2001, by the following vote: Yeas 142, Nays 0, 2 present, not voting. _______________________________ Chief Clerk of the House I certify that H.B. No. 2875 was passed by the Senate on May 15, 2001, by the following vote: Yeas 30, Nays 0, 1 present, not voting. _______________________________ Secretary of the Senate APPROVED: __________________________ Date __________________________ Governor